# Tokenized treasuries compared: BUIDL, USYC, USDY, BENJI

> Four products dominate the $14.7 billion tokenized US Treasury market as of June 2026: BlackRock's BUIDL ($2.39B AUM, 3.40% APY), Circle's USYC ($2.83B AUM, 3.18% APY), Ondo's USDY ($2.14B AUM, 3.55% APY), and Franklin Templeton's BENJI ($836.9M AUM, 3.48% APY) — all sourced from rwa.xyz. They differ on legal structure, minimum investment, chain availability, redemption mechanics, and who can access them. This comparison maps those differences so you can evaluate which product, if any, fits your situation.

8 min read · Updated 2026-06-09 · Topic: use-cases

Canonical: https://tempo.dataos.so/articles/tokenized-treasuries-comparison

Four products define the tokenized US Treasury market: **BUIDL** (BlackRock), **USYC** (Circle/Hashnote), **USDY** (Ondo Finance), and **BENJI** (Franklin Templeton). Together they represent roughly $8.2 billion of the $14.7 billion total market as of June 2026 (rwa.xyz). The market numbers are close; everything else about these products differs.

This comparison is structured to answer the practical questions: who can access each product, what are they actually holding, how does yield get paid, and what are the friction points.

## Market snapshot (June 2026, rwa.xyz)

| Product | Issuer | AUM | 7-day APY | Yield mechanism |
|---|---|---|---|---|
| **USYC** | Circle / Hashnote | $2.83B | 3.18% | Price accrual (token price rises) |
| **BUIDL** | BlackRock | $2.39B | 3.40% | Rebasing (balance increases daily) |
| **USDY** | Ondo Finance | $2.14B | 3.55% | Price accrual (token price rises) |
| **BENJI** | Franklin Templeton | $836.9M | 3.48% | Price accrual |

All four APYs reflect the Federal Reserve's policy rate environment in mid-2026. When the Fed cuts rates, these yields fall with them.

## What each product holds

Understanding the underlying assets matters because it determines the risk and the yield.

**BUIDL** invests in short-term US **Treasury bills**, cash, and repurchase agreements managed by BlackRock. T-bills are direct obligations of the US government — the most creditworthy short-term instrument available. The repo exposure adds slightly more complexity than pure T-bills but remains within secured government-debt markets.

**USYC** holds primarily **reverse repurchase agreements** against US Treasuries — in other words, overnight or short-term secured loans to institutions, collateralized by Treasuries. This is a step removed from holding T-bills directly: USYC holds cash lent to counterparties who pledge Treasuries as collateral. The counterparties are typically large banks and broker-dealers. The yield is slightly lower than direct T-bill exposure because the repo market is highly competitive.

**USDY** holds short-term **US Treasury bills and bank demand deposits**. The bank deposit component introduces a small amount of bank credit risk alongside the T-bill exposure — bank deposits are not guaranteed by the US government above FDIC limits and carry some counterparty exposure to the specific banks used. This mix is part of why USDY carries the highest yield of the four: it is taking slightly more credit risk than pure T-bill products.

**BENJI** (Franklin Templeton OnChain US Government Money Fund) holds US government securities — primarily **Treasury bills and government agency securities** — managed as an SEC-registered money market fund. As a registered fund, it must meet diversification and credit quality requirements set by US securities regulators.

## Access: who can buy what

This is where the products diverge most sharply.

### BUIDL

- **Legal structure:** US-registered security (fund shares)
- **Investor eligibility:** Accredited investors only
- **Minimum investment:** Historically $5 million through Securitize (the transfer agent)
- **KYC/onboarding:** Through Securitize; full institutional onboarding required
- **US retail access:** Not available at primary issuance
- **Geographic restrictions:** Available to non-US investors in some jurisdictions; transfer restrictions apply

BUIDL is an institutional product. The $5M minimum and accredited-investor requirement mean it is accessible to hedge funds, DAO treasuries, corporate treasuries, and DeFi protocols — not to individuals managing personal savings.

### USYC

- **Legal structure:** On-chain share class of the Hashnote Short Duration Yield Fund
- **Investor eligibility:** Institutional and qualified investors; KYC through Circle
- **Minimum investment:** Varies; institutional access not retail
- **Primary use:** B2B — collateral for stablecoin issuers, DeFi protocols, payment companies
- **US retail access:** Not available at primary issuance

USYC's large AUM ($2.83B, the highest of the four) reflects its role as infrastructure rather than a direct savings product. Most holders are other financial products that hold USYC as a reserve or collateral asset. Individual investors may access it indirectly through those products.

### USDY

- **Legal structure:** Senior secured note issued by Ondo Finance
- **Investor eligibility:** Primary issuance restricted to **non-US persons** and non-US entities; secondary market access varies by jurisdiction
- **Minimum investment:** Lower barrier than BUIDL — accessible to qualified non-US individuals at the primary level
- **Seasoning period:** Newly issued USDY tokens cannot be transferred for **40–50 days** after issuance; this satisfies US securities transfer restriction requirements
- **Secondary market:** Available on DEXs once seasoned; fewer restrictions than primary issuance in some jurisdictions
- **US retail access:** Not available at primary issuance; secondary market access is legally ambiguous for US persons

USDY is the most accessible product for qualified non-US individuals. The seasoning period is real friction — if you buy newly issued USDY, you cannot move or trade the tokens for up to 50 days. Secondary market tokens may have already completed seasoning.

### BENJI

- **Legal structure:** Shares in the Franklin Templeton OnChain US Government Money Fund — an **SEC-registered money market fund**
- **Investor eligibility:** Expanding toward retail; MoonPay partnership (June 2026) lowered minimum entry
- **Chains:** Stellar, Polygon, Arbitrum, Aptos, Avalanche, Base, Solana, Ethereum — the broadest multi-chain presence of the four
- **Investor growth:** 140%+ growth in BENJI investors from April 2024 to March 2026
- **US retail access:** More accessible than BUIDL/USYC; regulatory requirements apply as a registered fund, but the distribution model is broader

BENJI is the most retail-oriented product of the four. Its SEC registration as a money market fund means it operates within a well-understood regulatory framework; its multi-chain presence and third-party distribution through MoonPay expand reach beyond institutional channels. The trade-off: as a registered fund, it carries reporting and compliance requirements that affect how quickly it can expand.

## Yield mechanics in detail

All four products distribute yield automatically, but the mechanism differs.

**Rebasing (BUIDL):** Your token balance increases each day. If you hold 1,000 BUIDL, tomorrow you might hold 1,000.34. The token price stays constant; the quantity grows. This is operationally simple but can cause complications in DeFi protocols that assume a fixed token supply.

**Price accrual (USYC, USDY, BENJI):** The token price increases daily. You hold 1,000 tokens; each token is worth fractionally more each day. When you redeem, you receive more dollars per token than you paid. Smart contracts and DeFi integrations that need to denominate value in the token must account for the changing price.

Neither mechanism is superior; they have different accounting and composability implications.

## Redemption and liquidity

**BUIDL:** Primary redemption through Securitize; not a same-day, on-chain transaction. The process involves the transfer agent and settles through traditional fund redemption mechanics. Secondary market exists but is thinner than for payment stablecoins.

**USYC:** Institutional redemption through Circle/Hashnote channels. Designed for B2B use, not frequent individual withdrawals.

**USDY:** Primary redemption through Ondo's channels; secondary market on DEXs for seasoned tokens. The secondary market provides more immediate liquidity than primary redemption for small amounts, but at some spread to NAV.

**BENJI:** Redemptions through the Franklin Templeton infrastructure and, increasingly, through third-party apps. As an SEC-registered fund, shares are redeemable at NAV through official channels.

None of the four products offers the same instant, permissionless redemption as withdrawing USDC from Aave. They are fund products, not payment instruments. This is a meaningful operational distinction for anyone considering them as a cash equivalent.

## Side-by-side

| | BUIDL | USYC | USDY | BENJI |
|---|---|---|---|---|
| **Issuer** | BlackRock | Circle/Hashnote | Ondo Finance | Franklin Templeton |
| **AUM (Jun 2026)** | $2.39B | $2.83B | $2.14B | $836.9M |
| **7-day APY (Jun 2026)** | 3.40% | 3.18% | 3.55% | 3.48% |
| **Underlying** | T-bills, repo | Reverse repo (T-bill collateral) | T-bills + bank deposits | US govt securities |
| **Legal structure** | Securities (fund shares) | On-chain fund shares | Senior secured note | SEC-registered MMF |
| **Yield mechanism** | Rebasing | Price accrual | Price accrual | Price accrual |
| **Minimum investment** | ~$5M (historically) | Institutional | Lower; non-US persons | Expanding to retail |
| **US retail access** | No | No | No (primary) | Expanding |
| **Non-US individual access** | Accredited only | Qualified only | Yes (primary), varying secondary | Yes (expanding) |
| **Chains** | ETH (primary) | ETH + others | ETH, SOL, Aptos, Mantle, Sui | 8 chains |
| **Seasoning period** | No | No | 40–50 days (new issuance) | No |
| **Custodian** | BNY Mellon | Hashnote / Circle | Ondo / third-party | Franklin Templeton |

## Which product for which use case

**Institutional treasury / DAO / DeFi protocol (large, US or global):** BUIDL and USYC are the recognized names at institutional scale. BUIDL has the brand recognition and BNY Mellon custody backing; USYC has the largest AUM and is positioned as B2B collateral infrastructure.

**Non-US individual investor with lower entry threshold:** USDY is the most accessible at primary issuance. Accept the seasoning period friction; verify secondary market availability and local regulatory status before purchasing.

**Broadest chain availability and retail-friendliest access:** BENJI. Its eight-chain footprint and MoonPay distribution make it the most reachable for investors outside institutional channels. As an SEC-registered fund, its legal structure is also the clearest.

**Highest current yield (mid-2026):** USDY at 3.55%. The yield premium over BUIDL (3.40%) reflects slightly broader underlying asset exposure (including bank deposits). Whether that premium is worth the additional credit risk is a judgment call.

For the mechanics and risks behind earning yield from these products, see [The real risks of earning yield on stablecoins](/articles/stablecoin-yield-risks). For a broader explanation of what tokenized money market funds are and how they fit the RWA landscape, see [Tokenized money market funds: BUIDL, USYC, and what they mean for you](/articles/tokenized-money-market-funds).

## FAQ

**Which tokenized Treasury product has the highest yield?**

As of June 2026, USDY (Ondo Finance) carried the highest 7-day APY at approximately 3.55%, followed by BENJI at 3.48%, BUIDL at 3.40%, and USYC at 3.18% — per rwa.xyz data. The differences are small and reflect variations in the underlying assets (T-bills vs. repo vs. bank deposits) and fee structures. All four track the US Federal Reserve's policy rate.

**Which product is accessible to retail investors?**

Franklin Templeton's BENJI is the most accessible — it is an SEC-registered fund that expanded retail access via a MoonPay partnership in 2026. USDY allows non-US individuals to access the secondary market. BUIDL requires accredited investor status and historically a $5M minimum. USYC targets institutional and qualified investors. No product offers unrestricted US retail access at primary issuance.

**What is the difference between BUIDL and USYC's underlying assets?**

BUIDL holds short-term US Treasury bills, cash, and repurchase agreements. USYC holds primarily reverse repurchase agreements (overnight secured lending against Treasuries) rather than direct T-bill holdings. Both provide exposure to short-duration US government credit, but through different instruments. The yield difference (BUIDL 3.40% vs USYC 3.18%) partly reflects this structural difference.

**How does the seasoning period on USDY work?**

Newly issued USDY tokens cannot be transferred on-chain for 40–50 days after issuance. This seasoning period exists because USDY is structured as a note — a security — and satisfies US transfer restriction requirements. Once seasoned, tokens trade freely on-chain. Tokens purchased on secondary markets may have already completed their seasoning period.

**Are these products safe from a regulatory standpoint?**

All four products operate within regulated structures. BUIDL and BENJI are securities under US law. USDY is structured as a note. USYC is an on-chain share class of a registered fund. The regulatory risk is not that they are unregulated — it is that regulatory requirements may restrict who can hold them, in which jurisdictions, and under what conditions. US retail investors face the most restriction.

## Sources

1. [RWA.xyz — Tokenized U.S. Treasuries dashboard (June 2026)](https://app.rwa.xyz/treasuries)
2. [Securitize — BlackRock USD Institutional Digital Liquidity Fund (BUIDL)](https://securitize.io/blackrock/buidl)
3. [Circle — USYC](https://www.circle.com/usyc)
4. [Ondo Finance — USDY](https://ondo.finance/usdy)
5. [Franklin Templeton — Five years of BENJI (June 2026)](https://www.franklintempleton.com/press-releases/news-room/2026/franklin-templeton-stellar-development-foundation-mark-five-years-of-benji-the-first-u.s.-registered-tokenized-money-market-fund)

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Neutral, sourced explainer from tempowiki. Index: https://tempo.dataos.so/llms.txt